The Richest Man in Babylon Summary, PDF and Review (2023)

Summary of the richest man in BabylonviaGeorge S Clasonis a classic bestseller that shares the timeless wisdom of finance. From the importance of saving to investing wisely, he teaches you how to get rich.

Who should read the summary of "The Richest Man in Babylon"?

Last Updated 02/28/2022 / Affiliate Links / Amazon Images

• A person who started learning about finance.
• Anyone who wants to learn how to build wealth for the long term.
• Who has a skinny wallet and wants to gain weight.

Summary of the Richest Man in Babylon (PDF)

A nation prospers when all its individuals are financially literate.

Some of the principles of finance are timeless, while others change over time.

If you want to learn the basicsperennial principles of financeThe summary of this book is perfect.

In this article,Summary of the richest man in Babylon, I will share my lessons from this book.

Also, don't forget to read them.the critical evaluation of the article at the end.

So, without further ado, let's dig in.

1. Pay yourself first

If you were to ask me to share one thing I learned from this book, it would be this:

A part of everything you earn is yours.

George S Clason

The biggest mistake people make is spending all their hard earned money on their needs and wants.

You forget to save money for yourself.

Well, they buy things themselves, but they don't pay for themselves.

You pay brands. You pay the merchants. You pay for different services.

They give their money to everyone but themselves.

So should you stop buying stuff and start saving like crazy?

No, that's not what I mean.

The author says that you should save a tenth of your money.

It means: if you earn ten gold coins, you should only spend nine gold coins on your needs and wants.

And no matter what, you must not touch the last gold coin.

Sure you can save more than one gold piece, but the fact remains that you shouldn't save less than a tenth of your total income.

But what if you hardly make any money and barely cover your day-to-day life?

Yes, you still need to save a tenth of your total earnings. This puts you on the path to wealth. This habit will gradually fatten your meager wallet.

When you set aside a portion of your total income for the future, the compounding effect occurs.

And you don't even realize when your savings increase significantly.

2. What you save, you will earn

Savings is only part of the equation.

Just saving doesn't help you get rich.

The thing is:

If you don't save, you can't invest.

You can only invest if you have enough money.

The best thing to do is to start the children on their savings and let them earn money.

I know you are confused: "How can you have children with your savings?"

Let me clear up this confusion.

When we say children of your savings, it means that you should use your savings in a way that creates multiple streams of income.

One way is to invest in the purchase of assets that generate money.

After that, you should try to raise children from children to create even more streams of income. This has many advantages.

The main benefit of creating multiple streams of income is that you don't have to rely on a single source of income.

And in the worst case, if one source of income disappears, you will have others to rely on.

In short, what you save should help you earn money.

3. Every fool needs to learn how to make money.

Let's admit that we don't know as much as we think we do.

A wise man said:

The more you learn, the more you earn.

a wise man

If you don't learn the basics of making money, you won't make it.

I think it is a sin to think that you are going to get rich without knowing the basics of wealth creation.

Sometimes people think that luck will shine on them and they will become rich.

Or they are always waiting for some lottery that will bring them fortune.

Let's say you win the lottery once in a super lucky event and become rich overnight.

And now?

You won't be able to make good use of it just because you don't have enough skill.

And eventually you will lose it.

If you don't learn to save and invest your resources wisely, you won't create much wealth.

Therefore, you must learn.

Those willing to learn more about their craft will be amply rewarded.

The richest man in Babylon.

Learning will also save you from the pitfalls that I will discuss later.

Suggested reading:The best financial books that everyone should read at least once.

Read on for more information...

4. Plant your seed early.

You may have heard people say, "Wealth doesn't grow on a tree." It is true.

But no one talks about it growing like a tree.

All you have to do is plant the right seed at the right time.

The tenth you save of your total income is like a seed.

If you plant this seed and take care of it for a few years, it will grow into a tree that will bear fruit.

The sooner you plant the seed (which means saving part of your income), the sooner you will see the results of your efforts.

When it comes to investing, smart people advise that you need to start early to see the magic of compound interest.

But starting earlier will not bring results.

Results will show as you water your seed until it grows into a tree.

Just as a tree needs time and food to grow, wealth also takes time and food to build.

It's a long-term thing.

So the sooner you start, the sooner you will see results.

5. Control your expenses

If you don't get your spending under control, you'll quickly find yourself with a thin wallet.

We all have an innate desire to buy the best things.

But not everyone can afford it.

There are basically two types of things we buy:

1. Things that meet our basic needs like food, water, shelter, etc.
2. Things that make us happy and fulfill our desires, dreams and longings.

You need to control spending on the second type of thing.

Because desires are different from needs.

Needs are necessary, desires are not.

It is our desires that are dear.

Ask yourself honest questions like:

• Do I need the newly introduced cell phone or a laptop?
• Do I really need this new watch?
• Do my current things meet my needs?
• Am I wasting my money?
• Am I buying something because I have to or because of peer pressure?

Newbies who don't know much about finance should use this50/30/20 rule.

To use: This rule is not in the book, but I tell you to follow it.

According to this rule, 50% of your income must be spent on basic necessities.

The other 30% should be spent on your wants and needs.

And the remaining 20% ​​must be used to save and invest.

You can also introduce minimalism into your life to control your expenses.

It is easy:

Buy only the essentials.

When spending, don't be guided by your desires.

Don't confuse necessary expenses with your desires.

The richest man in Babylon.

6. Going into debt is a bad idea.

Those who do not know how to manage money and control their spending often go into debt to fulfill their endless desires and desires.

When you contract a debt, you have to pay it back with interest.

And when that happens, you can't save 10% of your wealth.

Some people often end up going into debt and instead of getting rich, they become poor.

Therefore, debts should be avoided whenever possible.

Don't buy anything if you don't have enough money. This is much better than going into debt.

7. Luck comes to those who work for it

Good luck really comes to the few people who jump at the opportunity when it presents itself.

Some people hesitate and pass up the opportunity.

But those who seize every opportunity and work hard often find themselves in situations where they are rewarded with good fortune.

Opportunity waits for no one.

You'll have to be quick when you see it.

And you know what?

Many times it comes when you least expect it.

Men of action are favored by the goddess of fortune.

George S Clason

8. Secure future income

Investing can sometimes be risky.

So whatever you do with your money, make sure you have plans for future earnings.

Make long-term plans.

Short term plans often lead to future problems.

Connect with people who are making money.

Surrounding yourself with financial experts will teach you how to generate sustainable income.

Future income must be planned to support you and your family in the future.

Arrange the needs of your old age and the protection of your family in advance.

(Video) The Richest Man in Babylon Full Audiobook

The richest man in Babylon.

9. Defend your money

Protect your wealth with all your might.

Just as people build walls around their homes to protect themselves, you too must have plans and strategies to protect your money from threats.

You should avoid financial fraud and protect your money with reliable insurance, savings accounts and investments.

Tragedy can strike without warning.

It is better to be prepared for the worst.

Protect your treasury from loss by investing only where your capital is safe.

The richest man in Babylon.

The Essentials of "The Richest Man in Babylon"

Let's summarize the main points of this book:

• Pay yourself first.
• Make your money work for you.
• Learn all you can about how to make money.
• Learn to invest money.
• Control your expenses.
• Avoid debt whenever possible.

What else will you learn from Blinks?

• learn to be lucky
• How to accumulate wealth by trial and error?
• How to take advantage of the opportunities?
• How to make long-term investments?

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Summary infographic of the richest man in Babylon

Review of the richest man in Babylon.

Last Updated 02/28/2022 / Affiliate Links / Amazon Images

This book tells the story of Babylon, which was one of the richest and most glamorous cities of antiquity.

The richest man in town, Arkad, shares with the townspeople why he is so rich and how his wealth is increasing rapidly.

Things I liked about this book:

The author shared timeless financial lessons through stories.

This book is ideal for beginners who know little or nothing about finance.

What I did not like about this book:

One thing worth mentioning in this book is the Old English language.

Words like "tu", "you", "was", etc. they were seriously annoying and sometimes made the sentence hard to read.

The writing style did not appeal to me.

Although this book is short, I think it could be even shorter.

Most of the lessons in this book are based on common sense.

Buy the book on Amazon.

It's your turn

What class did you like the most?

Do you have any other timeless tips for building wealth?

Tell me in the comments.

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